By offering a split term, parents could opt for a shorter term than their children, for example, to match their remaining employed years.
The mortgage can also be split into part repayment and part interest-only. The society said this could be used by borrowers who plan to retire when the repayment part of the mortgage comes to an end and would continue to pay the interest-only element of the mortgage from their pension income.
Carolyn Thornley-Yates (pictured), head of sales and marketing at Hinckley & Rugby, said: “We wanted to add the ability to split so we can help first-time buyers where the parent’s working income is needed for affordability.
“Almost all parents will plan to retire, usually before a child’s mortgage term would end. Splitting the terms recognises this reality whilst still enabling families to do what they can to help their next generations into home ownership.”